Large Cars - Luxembourg

Luxembourg

Revenue in the Large Cars market is projected to reach US$322m in 2024.
Revenue is expected to show an annual growth rate (CAGR 2024-2029) of 1.40%, resulting in a projected market volume of US$345m by 2029.
Large Cars market unit sales are expected to reach 7,985.0vehicles in 2029.
The volume weighted average price of Large Cars market in 2024 is expected to amount to US$43k.
From an international perspective it is shown that the most revenue will be generated in China (US$106,200m in 2024).

Key regions: Worldwide, China, India, Germany, Europe

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Analyst Opinion

The Large Cars market in Luxembourg has been experiencing steady growth in recent years.

Customer preferences: Luxembourg is known for its high standard of living and affluent population. As a result, customers in the country have a preference for large cars that offer luxury, comfort, and advanced features. They value spacious interiors, powerful engines, and high-end technology. Additionally, environmental consciousness is also an important factor for customers, with many opting for hybrid or electric large cars to reduce their carbon footprint.

Trends in the market: One of the key trends in the Large Cars market in Luxembourg is the increasing demand for electric and hybrid vehicles. The government has been actively promoting sustainable transportation and offering incentives for the purchase of eco-friendly cars. This has led to a surge in the sales of electric and hybrid large cars as customers embrace the shift towards greener options. Another trend in the market is the rise of luxury SUVs. SUVs have gained popularity worldwide, and Luxembourg is no exception. Customers in the country are attracted to the versatility, spaciousness, and commanding presence of SUVs. Luxury SUVs, in particular, offer a combination of comfort, performance, and prestige that appeals to the affluent population.

Local special circumstances: Luxembourg is a small country with a well-developed public transportation system. This, coupled with the country's compact size, means that customers often have shorter commutes and may not require large cars for everyday use. However, many residents also own second homes in more rural areas or frequently travel to neighboring countries, which creates a demand for large cars that can handle longer distances and varied terrains.

Underlying macroeconomic factors: Luxembourg has a strong economy with a high GDP per capita. This has contributed to the growth of the Large Cars market as customers have the financial means to purchase expensive vehicles. Additionally, low interest rates and favorable financing options have made it easier for customers to afford large cars. In conclusion, the Large Cars market in Luxembourg is driven by customer preferences for luxury, comfort, and advanced features. The increasing demand for electric and hybrid vehicles reflects the country's commitment to sustainability. The rise of luxury SUVs is a global trend that is also evident in Luxembourg. The country's small size and well-developed public transportation system create unique circumstances where customers may not require large cars for everyday use but still value their versatility for longer trips. The strong economy and favorable financing options further support the growth of the market.

Methodology

Data coverage:

The data encompasses B2C enterprises. Figures are based on the sales of new passenger cars. Data on the specifications of the sold vehicles is based on the base models of the respective makes.

Modeling approach:

Market sizes are determined through a bottom-up approach, building on specific predefined factors for each market segment. As a basis for evaluating markets, we use company reports and websites, vehicle registries, car dealers, and environment agencies among other sources. In addition, we use relevant key market indicators and data from country-specific associations, such as GDP and car stock per capita. This data helps us estimate the market size for each country individually.

Forecasts:

In our forecasts, we apply diverse forecasting techniques. The selection of forecasting techniques is based on the behavior of the relevant market. For example, we use the ARIMA model for the Passenger Cars market. The main drivers are GDP per capita and consumer spending per capita.

Additional notes:

The data is modeled using current exchange rates. The impact of the COVID-19 pandemic and the Russia-Ukraine war are considered at a country-specific level. The market is updated twice a year. In some cases, the data is updated on an ad hoc basis (e.g., when new, relevant data has been released or significant changes within the market have an impact on the projected development).